A combination of economic factors is likely to prevent the UK tourism sector from recovering for at least five years, according to a new report from Mintel. Higher fuel prices, pushing up the cost of flights, and a rise in VAT scheduled for January 2011 will both hit demand, says the British Lifestyles 2010 report.

Prime minister David Cameron has sought to refocus the British tourism offering, arguing the country should concentrate on selling its cultural heritage. Commentators have seen the speech as a decisive attempt to break with the Cool Britannia branding employed by former Labour prime minister Tony Blair.

In a speech this morning prime minister David Cameron argued Britain must focus on its heritage in order to attract more visitors. Breaking Travel News junior editor Chris O’Toole argues the coalition will need more than empty promises to revive the industry.

The global downturn sparked the rise of the so-called staycation but Britons could now be better off holidaying in places like Bulgaria and Bodrum than Brighton due to the high cost of UK accommodation and the weakness of the Euro.

UK immigration officials are threatening a two-day strike over working conditions, adding to the potential misery for holidaymakers this summer amid fears of a walk-out by British Airways ground staff.

Cash-strapped Britons remaining in the UK for their holidays has helped Hoseasons boost its annual pre-tax profits by almost £1m.The operator, which specialises in lodges, cottages and boating programmes in the UK, saw profits rise to £3.13m in the year ending 31 October 2008 from £2.15m year-on-year. Sales were up from £13.7 million to £15.6 million.